New Hampshire business, higher education and policy leaders were briefed on a new report showing the significant returns on investment the state could yield by investing in evidence-based early childhood programs.

Dr. Lynn A. Karoly, senior economist at the RAND Corporation and author of the report entitled, "Investing in the Early Years: The Costs and Benefits of Investing in Early Childhood in New Hampshire" draws on an extensive body of program evaluation and economic evaluation research to analyze the costs and benefits of investing in evidence-based early childhood programs in New Hampshire.

She spoke to a packed room of over 200 at the New Hampshire Forum on the Future at the Bedford Village Inn.

• New Hampshire generally ranks high on measures of child wellbeing, but these rankings conceal certain statewide challenges, as well as pockets of serious adversity. Investing in the Early Years found that a stunning 45% of children under the age of six live in families with wages that do not provide financial stability. And 70% of children under 6 have all available parents in the workforce.

• The report reveals that 37% of children under six in New Hampshire experience one or two factors related to early adversity that put them at risk for poor outcomes. 11% of young children in New Hampshire experience three or more of these factors, putting them at an even greater risk for lifelong challenges.

• While programs for new mothers and young children exist in New Hampshire, they are limited in their ability to reach all of those that could benefit. Implementation of voluntary nurse home visiting programs in New Hampshire would return an estimated $4 to $6 for every dollar invested, an would increase the number of and improve outcomes for children and families served.

• New Hampshire is one of only eight states that does not have state-funded pre-school. A state-funded, school-year voluntary preschool program for families with income up to three times the federal poverty level would produce a return of $2 for every dollar invested, and nearly $4 if the program were targeted to just those living in poverty.

• Current public investment in young children in New Hampshire is primarily supported by federal funds.

"The bottom line is that indeed, in New Hampshire, there are opportunities to invest further in young children," Karoly told state leaders. "We know that there are high quality programs that can be implemented and we see there are deep positive returns."

The report's research brief, "The Economic Returns from Investing in Early Childhood Programs in the Granite State" shows that not enough of the state's children younger than 6 are getting the healthy start that they need.The report looked at student achievement by family income level and found significant differences in student proficiency levels at the fourth grade, eighth grade and graduation rates. Students in economically disadvantaged families had a high school graduation rate of 77%, compared to their peers in moderate income homes with a graduation rate of 94%. Proficiency skills in math and English were often two times better for those who were not economically disadvantaged.

"These and other adverse outcomes ultimately have economic consequences for the individual, such as lower lifetime earnings, but society will bear the cost as well, through a lower tax base and higher costs for social welfare programs and crime," the report indicated.

The study reviewed evidence based programs already in use in New Hampshire, how they might be expanded, and what the existing funding streams for those programs are. In New Hampshire, Karoly said, there is a program called Healthy Families America. It is an evidence-based program, focused on needs with strong outcomes. Another model is the nurse-family partnership program which uses nurses to meet with first-time mothers of low income. It follows the child to age 19. From these programs, "we know about long-term evidence. Studies have shown economic returns could be as high as 6 to 1," she said.

A nurse home visit program to reach first-time mothers costs $5,000 per year. A quality preschool program for 4-year-olds would cost about $9,300 per child.But the estimated returns on that investment are from $4 to $6 per $1 spent on nurse visits, and $2 to $4 per child for every dollar spent for preschool, the report found.

A state-funded, school-year, voluntary preschool program could better prepare students for success in kindergarten and beyond, and reduce problems such as crime and social service needs."Estimates of the returns are highest for children in the lowest income tier. However, the social benefits exceed the program costs for children in all income groups below 300 percent of the federal poverty line under all assumptions," the report reads.

"With the growing understanding of the importance of the first five years for child health and development and the consequences for children who face various early-life stressors, states have been expanding their investments on early childhood programs, particularly those targeted toward at-risk children. Such investments have demonstrated to benefit children and their families in the short run (as children are better prepared to enter school) and in the longer term (as children perform better academically, increase their educational attainment, experience better labor market outcomes and require fewer social services). Policymakers and the public view such programs as an important economic development strategy that boosts the human capital and therefore the productivity of the future workforce," the report reads.For New Hampshire, the report recommends that the state:• Consider an investment portfolio with a continuum of coordinated programs, particularly in the existing nurse home visiting programs and high-quality public funded preschool to include more children.• Include resources to monitor implementation to ensure quality and look for methods of improvement.• Invest in integrated data systems to monitor participation rates, identify populations not receiving services and look at links to ensure continuity.

"Our analyses demonstrate that New Hampshire can expect positive net social benefits from expanding early childhood programs," the report concludes. The Rand Corporation is a nonprofit institution that develops solutions to public policy challenges.

New Hampshire business, higher education and policy leaders were briefed on a new report showing the significant returns on investment the state could yield by investing in evidence-based early childhood programs.

Dr. Lynn A. Karoly, senior economist at the RAND Corporation and author of the report entitled, "Investing in the Early Years: The Costs and Benefits of Investing in Early Childhood in New Hampshire" draws on an extensive body of program evaluation and economic evaluation research to analyze the costs and benefits of investing in evidence-based early childhood programs in New Hampshire.